The GBP/USD has surged and reached above the 1.2750 level. The ascent of the currency exchange rate was caused by the combined support of the 1.2650 level and 200-hour simple moving average. Moreover, during the surge the rate pierced the resistance line of a dominant pattern just above 1.2700.
The pair is expected to wait for the support of the 55-hour simple moving average, which was located at the 1.2710 level during the London session’s morning hours and moving upwards. It could provide the needed support to push the pair through the resistance of the 1.2750 level and the historical high level at 1.2770.
However, note that the support of the 55-hour SMA could not provide enough technical support. In that case the rate could decline down to look for the support in the 1.2700 level.